Marketing Channel

A set of interdependent organizations involved in the procedure of making a service or product available for utilize or consumption by business user or consumer. Given figure summarizes the easy marketing system that consists of customer, processer that is having something valuable for making transactions. These transactions are made in exchange procedure and creation availability of products for customers. This availability is made using networks of distribution channels.

Every service and product, whether, a watch, an automobile, a personal computer, or office furniture, has to somehow be made available to billions of people. Products have to be made available to millions of businesses, industrial firms, government institutions, and other organizations worldwide. Firms attempt to realize this goal through the creation of distribution channels.

Channel structure has three fundamental dimensions: the intensity at various levels, the length of the channel, and the types of intermediaries involved. Channel intensity ranges from intensive to selective to exclusive. Intensive means that there are various intermediaries. Selective means that there are a lesser number of intermediaries. Exclusive refers to just one.